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File #: 2856-2022    Version: 1
Type: Ordinance Status: Passed
File created: 10/14/2022 In control: Public Utilities Committee
On agenda: 12/12/2022 Final action: 12/14/2022
Title: To authorize the Director of Public Utilities to modify, extend and increase an agreement with Kurtz Brothers Central Ohio, LLC for the design, construction and operation of the Organic Waste Recovery and Reuse System Project; to authorize the expenditure of $1,587,500.00 from the Sewer Operating Sanitary Fund; and to declare an emergency. ($1,587,500.00)
Attachments: 1. ORD 2856-2022 Financial Coding - Kurtz Brothers Organic Waste Reuse & Recovery - Mod..pdf, 2. ORD 2856-2022 Kurtz Brothers Organic Waste Reuse & Recovery - Mod. #17 - Additional Info.
Explanation

This legislation authorizes the Director of Public Utilities to execute contract modification No. 17 to the Organic Waste Processing Agreement between the City of Columbus (City) and Kurtz Brothers Central Ohio, LLC (Kurtz).

Contract modification No. 17 will be in effect from December 1, 2022 to and including November 30, 2023, and is the first iteration to not include the Solid Waste Authority of Central Ohio (SWACO), which declined to renew the contract this year. The contract modification funds the following services and provisions:

Fixed Rate Sewerage Sludge Processing Term:

The contract continues a fixed rate fee of $33.50 per wet ton of sewerage sludge processing for the duration of this contract (10 years + 5 year extension). This contract authorizes the transfer to the organic waste recovery and reuse system of up to 25,000 wet tons of sewerage sludge per year at this rate. This contract provides DOSD with an additional beneficial alternative use option for sewerage sludge.

Log Grinding:

The contract adds a provision to fund log grinding services utilizing funds originally intended for hauling incinerator ash as part of a beneficial reuse program at the City’s two wastewater treatment plants. Incinerator ash had been historically stored at the treatment plants in lagoons and land filled at considerable expense to DOSD. This program allowed for up to 5,000 tons of wastewater treatment incinerator ash a year to be removed and adapted for beneficial reuse at a rate of $30.97 per ton, which was less than the land filing cost to the City. However, in 2015, the City ceased incineration of sewerage sludge, and thus incinerator ash generation, prior to the end of the contract.


1. Amount of additional funds: The amount of additional funds needed for this contract is $1,587,500.00. The original contract was established without funding. The total City cost of the original contract and all modifications is $13,075,645....

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